TaxTMI 
TaxTMI 
2020 (2) TMI 55
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....ed 18th July 2019 passed by the Adjudicating Authority, National Company Law Tribunal, New Delhi Bench, in Company Petition No. (IB)-645(ND) 2019 M/s Wed construction Pvt. Ltd. whereby the petition filed under Section 9 of the Insolvency and Bankruptcy Code, 2016 (for short I&B Code) has been rejected. Feeling aggrieved by the said order, the Appellant - 'Operational Creditor' has filed this Appeal. Brief facts as stated by the 'Operational Creditor' is engaged in the business of construction and was awarded a contract by the 'Corporate Debtor to undertake civil construction of their project PAN OASIS at Sector 70 Noida. Four work orders were awarded to the Operational Creditor between January 2010 and January 2014 under which the work w....
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....rd. The Learned Counsel for the Operational Creditor has claimed Rs. 2,41,58,130/- as outstanding amount towards Corporate Debtor including Rs. 69,00,000/- as the retention amount. Learned Counsel for the Corporate Debtor disputed the allegations and submitted that Operational Creditor has not adhered to the specification of the work order. The demand raised is only in respect of the running bills and the final bills has neither been raised nor accepted by the Corporate Debtor. It is further, pleaded that the contract stands concluded only on submission of the final bill. The Corporate Debtor has also pleaded that there was pre-existing dispute before the issuance of the demand notice. Therefore, the petition under Section 9 is not maint....
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....lls, we negate your exaggerated claim. Any other information/detail required not stated as above will be intimated to you after received receipt of the above information. This mail is without prejudice to all our rights which are hereby expressly reserved. Thanks & Regards, Rahul Rajvanshi, Sr. Manager-Billing & Contracts, Pan Realtors Pvt. Ltd. GH- 01, Sector- 70, Noida, U.P. M- 9560095584". On perusal of the above email, correspondence dated 24th October 2018, it is clear that Corporate Debtor demanded certain documents to settle the claim dated 3rd October 2018 from the Operational Creditor. The details of the documents are mentioned in the email above. It is a....
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.... the defence is likely to succeed. ___________ So long as a dispute truly exists in fact and is not spurious, hypothetical or illusory, the adjudicating authority has to reject the application. In the present case, applying the test of "existence of a dispute", without going into the merit of the dispute, it is apparent that the Corporate Debtor had raised a plausible contention to require further investigation, which was not a patently, feeble, legal arguments or an assertion of facts, unsupported by evidence. The defence was not spurious, mere bluster, plainly, frivolous or vexatious. It is also apparent from the record that alleged demand of the Operational Creditor is only in respect of the running bills and the final bill has nei....